Medicare
Life insurance might not be the most exciting topic, but it’s a crucial piece of your financial puzzle! Think of it as a safety net for your loved ones, ensuring that they’re taken care of financially if something unexpected happens to you.
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Parts A and B
Medicare Part A helps cover inpatient hospital stays, skilled nursing facility care, hospice care, and some home health services. Most people don’t pay a premium for Part A if they or their spouse paid Medicare taxes while working.
Medicare Part B helps cover outpatient care, doctor visits, preventive services, and certain medical equipment. Unlike Part A, Part B typically requires a monthly premium, which is based on income.
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Advantage
also known as Part C, is an alternative to Original Medicare (Parts A and B). It’s offered by private insurance companies approved by Medicare and combines the benefits of Part A and Part B into a single plan. Many Medicare Advantage plans also include additional coverage, such as prescription drugs (Part D), vision, dental, and hearing services. These plans often have lower premiums and out-of-pocket costs compared to Original Medicare but may require using a specific network of healthcare providers.
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Supplemental (GAP)
or Medigap, is a private insurance plan designed to help cover out-of-pocket costs that Original Medicare (Parts A and B) does not cover, such as copayments, coinsurance, and deductibles. Medigap plans are standardized, meaning the benefits are the same across all insurance providers for each plan type, though premiums may vary. These plans are sold by private companies and are meant to fill the gaps in Medicare coverage.